DC PACE Funds Energy Upgrades For Ward 6 Condo
By Keith Loria March 16, 2023 4:43 pm
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DC Property Assessed Clean Energy (PACE) has joined forces with Stonehill PACE, an Atlanta-based C-PACE lender, to provide $5 million in financing for energy efficiency and renewable energy upgrades to a condominium in the District’s Ward 6.
The financing for the building, a 122,500-square-foot condominium at 950 Third Street NW, will generate environmental benefits for both the building’s residents and the larger community. Cost savings are projected to be $6.7 million over 30 years, as the condo will use 1.4 million less kilowatt-hours of electricity and 3.4 million fewer gallons of water each year.
“This collaboration allows us to leverage lower-cost financing options and meet the increasing demand for clean energy solutions more efficiently,” Jared Schlosser, Stonehill’s senior vice president and head of Stonehill PACE, said in a statement. “As we strive towards a cleaner future, we believe this is an exciting time for the growth of green finance.”
Community Three Development owns the 13-story condo, which is within the Mount Vernon Triangle master-planned development. The development comprises nine buildings and approximately 2 million square feet of office, residential and retail space.
Jonathan Seabolt of Clearwater Capital Management, arranged the $70 million capital stack for the construction, and FVCB was the senior lender.
C-PACE is a special financing option for projects that include renewable energy options such as solar power, green roofs and water-conservation systems, as well as upgrades like energy-efficient windows or HVAC units. The DC PACE program has facilitated loans totaling approximately $95 million since its first deal in 2013.
Just last week, DC PACE teamed with Forbright Bank to finance three new solar projects in D.C.’s Wards 2 and 3, totaling approximately $1.9 million. The projects are expected to generate energy savings of nearly 400,000 kilowatt-hours per year, eliminating greenhouse gas emissions that would be equivalent to burning over 313,000 pounds of coal.
Of those funds, $361,247 in financing will go toward 2501 Q Street NW, a four-story multifamily building in Ward 2; $884,345 will go toward 2122 Massachusetts Avenue NW, an eight-story apartment complex in Ward 2; and $655,292 is headed to 3130 Wisconsin Avenue NW, a nine-story apartment complex in Ward 3.
“The PACE program plays a crucial role in shaping the future of D.C., and this financing is another significant step towards a cleaner, greener, and more equitable city,” Ronald Hobson, DC PACE’s program manager, told CO.
Update: This story originally misattributed source material. This has been corrected. We apologize for the error.
Keith Loria can be reached at Kloria@commercialobserver.com.
